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TABLE OF CONTENTS

1 SCOPE ......................................................................................................................................... 4

2 ALTERNATIVES .......................................................................................................................... 4
2.1 Upgrade and build Three phase overhead line 13.8 kV: ......................................................................... 4
Cost ................................................................................................................................................ 5
Pros ................................................................................................................................................ 5
Cons ............................................................................................................................................... 6
2.2 Lease Electrical Generator on site: ........................................................................................................... 6
Cost ................................................................................................................................................ 6
Pros ................................................................................................................................................ 6
Cons ............................................................................................................................................... 6
2.3 Early-Purchase Emergency Generation: .................................................................................................. 7
Cost ................................................................................................................................................ 7
Pros ................................................................................................................................................ 8
Cons ............................................................................................................................................... 8

3 ANALYSIS.................................................................................................................................... 8

4 RECOMMENDATIONS ................................................................................................................ 9

LIST OF FIGURES
Figure 2-1. 13.8kV OH Lines around site ................................................................................................................ 4

LIST OF TABLES
Table 1-1: Power Consumption ............................................................................................................................... 4

Table 2-1: Operation Cost – Transmission Line ...................................................................................................... 5

Table 2-2: Operation Cost – Generation ................................................................................................................. 6

Table 2-3: Operation Cost – Generation ................................................................................................................. 7

Table 2-4: Maintenance Cost – Generation ............................................................................................................ 7

Table 3-1: CAPEX vs OPEX .................................................................................................................................... 8

Table 3-2: CAPEX and OPEX ................................................................................................................................. 9

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1 SCOPE
This document details a trade-off study for the temporary electric installation in Curipamba project.
There is a 69 kV electrical line to be installed in the following 2 years, however there is a need of electrical
power during the period of construction. During this period there will be a peak power demand estimated at
2.0 MW.
Table 1-1: Power Demand

Description  Peak Demand Demand  Average Demand 

(kW)  Factor  (kW) 
Construction Power  1,000  50.00%  500 

Construction Facilities  1,000  80.00%  800 

 
2,000 1,300 
Needs to define the best alternative for a tempory electrical supply during the construction.

2 ALTERNATIVES
The two alternatives considered are detailed below:

2.1 Upgrade and build Three phase overhead line 13.8 kV:
This option consists in upgrade 4 km from point A to point B approximately and Build 3 km from point B
to CURIPAMBA site (see figure 2.1). The current line is a monophase 13.8 kV and needs to be upgrade
to three-phases 13.8 kV.

Figure 2-1. 13.8kV OH Lines around site

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Cost
Installation cost
The following work will determine the installation cost
a) Upgrade 4 km from monophase to three-phase 13.8 kV:
There is a cost of 17.000 USD/ Km (according to information provided by David Pazmiño –
CONTRACTOR, includes installation of poles, lines of transmission and tests) per upgrading
the 4 Km overhead line.
b) Build 3 km of three-phase 13.8 kV overhead line.
There is a cost of 20,000 USD/ Km per new construction and installation of 3 Km overhead
line.
Installation Cost: 128.000 USD

Operation Cost
There is the following table
Table 2-1: Operation Cost – Transmission Line

Operation Cost – Transmission Line 
Cost per Kwh  Cost per Month  Cost per 2 years 
Consumption (Kwh) 
(USD)  (USD)  (USD)*** 
 $                0.1174*                      1400.00**    $           118,380    $     2,841,108  
* Average from CNEL (see appendix A)
** Estimated average consumption
*** Estimated 2 years for the period of mine facilities construction.
Operation Cost: 2,841,108 USD

Total Cost
= Installation Cost + Operation Cost
Total Cost= 2,969,108 USD/2 years operation

Pros
 Do not use diesel fuel as primary component
 Low-risk maintenance.
 Can be established as emergency back-up power line (with Emergency backup Generator)
as there is a 69 kV over-head construction line planned.
 High social impact around of the project.
 Power capacity can be upgraded according needs.
 Low Pollution

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Cons
 Potentially unreliable service due to environmental conditions.
 Power supply is not controlled by users.

2.2 Lease Electrical Generator on site:

This option consists of a 2 MW generator leasing by a third-party company to provide the power
requirements for the site. This generator will use diesel fuel.

Cost
Lease cost
The installation cost is assumed in the rent of this equipment for the time that will be needed
Equipment rent per month: 18.113 USD per month per MW installed (2MW Installed)
Total Cost per 2 years period lease: 869.408 USD

Operation Cost
There is the following table
Table 2-2: Operation Cost – Generation

Operation Cost ‐ Generation 
Consumption  Consumption  Cost per Month  Cost per 2 years 
Cost per Gal (USD) 
(Kwh/Gal)  (Kwh)  (USD)  (USD) *** 
 $ 4.3163*   0.0706**  1,400   $ 307,047    $ 7,369,136  
* Value of Diesel according Petro Ecuador table (see appendix B)
** According to information provided in appendix C by Aggreko’s company quotation (14.17 kWh/gal)
*** Estimated 2 years for the period of mine facilities construction.
Operation Cost: 7,369,136 USD

Total Cost
=Lease Cost + Operation Cost
Total Cost= 8,238,544 USD per 2 years operation

Pros
 Quick installation
 Avoid external outages by environmental factors.
 Free maintenance and operation.

Cons
 High-cost diesel fuel.
 Road access to be improved for fuel-truck traffic

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